HomeMy WebLinkAboutFinal 2025 1022 Council Special MeetingMoses Lake City Council
Dustin Swartz, Mayor | Judy Madewell, Deputy Mayor | Don Myers, Council Member | Mark Fancher, Council Member
Deanna Martinez, Council Member | David Skaug, Council Member | Victor Lombardi, Council Member
Wednesday, October 22, 2025
Moses Lake Civic Center – 401 S. Balsam or remote access*
Study Session
Call to Order – 6:30 p.m.
1.Water Rate Study pg 2
Presented by FCS Group Chase Bozett
Summary: Discussion
2.Budget Workshop #3 pg 26 and 2026 Draft Budget dated Sept 30
Summary: Discussion
Presenters:
a)Fire (pg. 74) - Fire Chief Art Perillo
b)Ambulance (EMS) (pg. 106) - Fire Chief Art Perillo
c)Engineering (pg. 64) - Assistant Public Works Director Leigh Ramsey
d)Street Maintenance (pg. 109) - Streets/Stormwater Maintenance Manager Brad Mitchell
e)Stormwater Operations (pg. 119) - Streets/Stormwater Maintenance Manager Brad Mitchell
f)Water Operations (pg. 113) - Water Services Manager Chad Strevy
g)Wastewater Operations (pg. 116) - Wastewater Manager Chris Campbell
h)Municipal Airport (pg. 125) - Assistant Public Works Director Leigh Ramsey
i)Equipment Repair & Replacement (pg. 127) - Fleet Manager Joey Clifner
j)Facilities Maintenance (pg. 130) - Facilities Manager Josh McPherson
Adjournment
Future Council Meetings: Special Meeting October 23, Regular Meeting October 28.
NOTICE: Individuals planning to attend the in-person meeting who require an interpreter or special
assistance to accommodate physical, hearing, or other impairments, need to contact the City Clerk at (509)
764-3703 or Deputy City Clerk at (509) 764-3713 at least 24 hours in advance of the meeting.
* Remote Options:
#1 MS Teams App or Online Join the meeting now Meeting ID: 297 298 257 992 2 Passcode: AN94Rr7o
Or #2 MS Teams by phone (audio only) +1 509-707-9401,,591379815# United States, Moses Lake
Or #3 YouTube Live https://www.youtube.com/@MosesLakeCityCouncil/streams
COML Council Packet 10-22-25, Page 1 of 38
Council Agenda Bill
Subject
Water Rate Study
Department
Finance
Presenter at the Meeting
Chase Bozett, FCS Group
Packet Attachments (if any)
20251022 Moses Lake Water Presentation.pptx 1.13MB
Moses Lake Rate Calculator Tool.xlsx 31.41KB
WATER 2026 RATE PROPOSAL EXAMPLES.xlsx 40.53KB
Meeting Date:
10/22/2025
Agenda Item Number:
57839
Proceeding Type
Study Session
Proposed Council Action/Motion:
Information Only
Receive and File
Discuss
Provide Direction
Public Hearing
Adopt/Approve
Authorize
Other
No motion necessary.
Summary/Background
2025 Water Rate Study by FCS Group is attached for consideration and direction for staff.
Fiscal Consideration
Water rates would be adjusted per City Council's direction. The full fee schedule will be presented at the December 9, 2025, council meeting for adoption of all fees to be effective
1/1/2026.
Should the proposed rate structure be approved for implementation effective 1/1/2026, staff are recommending that the "excess use charge (EUC)" be discontinued. No further excess
use charges would be applied to customer accounts and no EUC revenue collected. There are currently no EUC revenues budgeted in the 2026 proposed budget.
City Council Priorities or Budget Objectives Addressed
Preamble: The City’s top priority will always be fulfilling its core mission, which includes ensuring public safety, maintaining the City’s infrastructure, complying with state and federal
mandates, and safeguarding the City’s finances.
#1 - Achieve Financial Sustainability
#2 - Secure Sustainable and Reliable Municipal Water Sources
#3 - Improve the City's Image and Reputation
#4 - Fire Department Service Delivery Model and Third Fire Station
#5 - New Police Station
#6 - Second Lake Crossing
#7 - WSDOT Highway Projects in Moses Lake
Reviewed and Approved by:
City Manager - Rob Karlinsey on 10/15/2025
COML Council Packet 10-22-25, Page 2 of 38
10/16/2025
1
Slide 1
Utility Rate Study Findings - Water
Chase Bozett, Assistant Project Manager
October 22, 2025
Slide 2
Introduction / Background
●Previous Water/Sewer rate study in 2020-2021
●Current Study: Comprehensive Water/Sewer Rate Study 2024-Present
»July 22nd presentation’s focus: Sewer Utility
»Today’s focus: Water Utility
1
2
COML Council Packet 10-22-25, Page 3 of 38
10/16/2025
2
Slide 3
Introduction to Utility Rate Making
●Utility rates are set to recover cost of providing service
»All utilities are self-supporting
●Operating costs (regular / ongoing)
»Employee salaries and benefits
»Supplies and materials
»Routine inspections and maintenance
»Fleet replacement contributions
»Interfund charges for services
»Taxes
●Capital costs
»Infrastructure replacement
»Facility upgrades Year 1 Year 2 Year 3 Year 4 Year 5
Hypothetical Example
Operating Capital
Slide 4
Rate Setting Process
Step 3:
Design Rates
(collect target revenue)
Step 2:
Cost of Service
(equity evaluation)
Step 1:
Revenue Requirement
(defining overall needs)
Fixed ChargesFixed Charges Variable ChargesVariable Charges
Define Customer ClassesDefine Customer Classes
Allocate Costs by System FunctionAllocate Costs by System Function
O&MO&M
CapitalCapital
RevenueRevenue Economic FactorsEconomic Factors
ReservesReserves
3
4
COML Council Packet 10-22-25, Page 4 of 38
10/16/2025
3
Slide 5
Expense Inflation
3.0-5.0% inflationary factors
Water: 4.2% annual average
Operating Expense Costs
Based on 2024 & 2025 budgetsInformed by staff inputStaffing increases with growth
Study Data and Assumptions
Forecast Basis
Study Period: 2025-2030
Customer Growth
2.40% Growth Rate
Approx. 350 household/yr.
Reserve Targets
90 days of OpEx + 1% of Assets
Water: $2.3m in 2025
Existing Debt Service
2004 Water/Sewer Bond ($1.2m)2015 GO Bond ($80k)Water: 50% of each debt
Capital Plan
Water System PlanCity Capital BudgetWater 2025-2030: $50.1m
Annual Fee Revenue
Monthly rates
Water: $9.3m in 2025
Slide 6
Revenue Requirement
5
6
COML Council Packet 10-22-25, Page 5 of 38
10/16/2025
4
Slide 7
$-
$2
$4
$6
$8
$10
$12
2024 2025 2026 2027 2028 2029 2030Millions
Cash Operating Expenses Existing Debt Service Revenues @ 2024 Rates
Water Operating Forecast
Final 2004 bond repayment in 2024
Decrease in non-rate revenue related to facility rent payments associated with debt service
2025-2030 average operating capacity of $2.8m
Slide 8
Water Mains,
$19.2m
Pressure Zones, $0.8m
Facility Improvements,
$22.5m
Miscellaneous
Improvements,
$1.0m Developer
Funded
Improvements, $6.5m
2025-2030 Capital Plan ($50.1 million)
Capital Improvement Plan (2025-2030)
●Water Mains
»Annual replacements of aging pipe
●Pressure Zones
»Division Street
»Montlake Improvements
●Facility Improvements
»Reservoir #10
»Wells #29 and #34
»Pump replacement program
●Miscellaneous Improvements
»Data capture and reconciliation program
»Water loss control action plan
»Water use efficiency
●Developer Funded Improvements
»Identified to show full scale of capital within the City
–No impact to City’s financial plan
7
8
COML Council Packet 10-22-25, Page 6 of 38
10/16/2025
5
Slide 9
2025-2030 Capital Program & Funding Strategy
$-
$5
$10
$15
$20
$25
2025 2026 2027 2028 2029 2030Millions
Developer Funded Improvements Miscellaneous Improvements
Facility Improvements Pressure Zones
Water Mains
●$50.1m in total escalated capital
»$6.5m funded by developers
»$12.5m debt financed for well improvements
»Average $5.1m annually to be funded through rates/connection charges
Revenue
Bonds
$12.5m
Connection
Charges$3.5mDeveloper
Funded
$6.5m
Rate Funded
Capital
$27.5m
Slide 10
$28.97
5.0%
$30.37
5.0%
$31.89
5.0%
$33.49
5.0%
$35.17
5.0%
$36.93
5.0%
$38.77
$-
$2
$4
$6
$8
$10
$12
$14
$16
2024 2025 2026 2027 2028 2029 2030Millions
Cash Operating Expenses Existing Debt Service New Debt ServiceSystem Reinvestment Funding Revenues @ 2024 Rates Revenues After Rate Adjustment
Water Revenue Requirement
Data label legend:
●Increase %
●Monthly single-family rate $
»Assumes 800 cf monthly
Adopted
Rate funded capital approximately equal to 2030 capital spending5% continued increases in anticipation of large future capital costs related to supply
9
10
COML Council Packet 10-22-25, Page 7 of 38
10/16/2025
6
Slide 11
Ending Fund Balance Projections
$-
$1
$2
$3
$4
$5
$6
$7
$8
$9
$10
2025 2026 2027 2028 2029 2030Millions
Combined Operating & Capital Cash 90 Days of O&M + 1% of Assets
Reserves spent down and debt issued to fund Well capital costs
Approximately $70m in anticipated capital need in ‘33-34
Slide 12
Cost of Service
11
12
COML Council Packet 10-22-25, Page 8 of 38
10/16/2025
7
Slide 13
●Distribution of costs to customer classes based on their proportional demands on and use of the system(s).
»Use of industry standard methodologies*/practices
●Cost distribution considers usage characteristics and facility requirements
»City specific usage and demand
»Planning, engineering, and design criteria
●Determines unit costs as foundation for rate design
»Total cost by class (equity)
»Unit costs ($/usage; $/meter/account/ERU)
* Industry Standard Methodologies; AWWA Principles of Water Rates, Fees and Charges, M1 Manual
Fundamental Question:
Do cost differences exist to
serve different customer
classes of service?
Cost of Service Analysis
Slide 14
Allocate Costs by Function
Revenue Requirement
Customer Meters &
Services
Base
Capacity Peak
Capacity
Fire
Protection
Allocate Costs to Customer Classes
Single Family Duplex Multi-Family
Cost of Service - Methodology
Commercial/
Industrial Irrigation
Billing Services Average Use Peak Use Fire Cost
* Industry Standard Methodologies; AWWA Principles of Water Rates, Fees and Charges, M1 Manual
13
14
COML Council Packet 10-22-25, Page 9 of 38
10/16/2025
8
Slide 15
2026 Expense Allocation
Costs relate to average service provided on demand and are essentially correlated with year-round water consumption.
Costs associated with establishing, maintaining, and serving water customers and tend to include administrative, billing, and customer service costs.
Costs associated with installation, maintenance, and repairs of meters and services.
Costs relate to peak demand service; associated with the ability of the system to provide capacity to customers with higher than average volume.
Costs associated with providing adequate capacity and water flow corresponding to min. fire safety standards. Incremental costs for storage, T&D, and hydrants for fire protection.
Customer
Meters &
Services
Base
Peak
Fire Protection
Customer
13.3%
Meters &
Services
15.0%
Base
26.7%
Peak
29.4%
Fire Protection
15.6%
Slide 16
Customer Class Account Usage – 2024 (Jan-Nov)
-
10,000,000
20,000,000
30,000,000
40,000,000
50,000,000
60,000,000
Cubic FeetSingle Family Duplex Multi-Family
Comm/Ind Irrigation System-wide
●2022-2023 customer bills also analyzed
»Similar findings observed
»2024 represents newest City rate structure
●Base (winter) Use: January-April
●Peak Use: June-September
●Peak Average / Base Average
»System-wide: 3.1
»Irrigation: 17.1
»Single Family/Duplex: 4.3
»Multi-family: 1.8
»Commercial/Industrial: 1.8
System-wide ratios have decreased in recent years as base use has increased with additional customers
15
16
COML Council Packet 10-22-25, Page 10 of 38
10/16/2025
9
Slide 17
Assigning Function Cost to Customer Groups
●Assign costs based on customer statistics, AWWA meter scaling, and water system plan information
Note: totals may not add to 100% due to rounding
Fire ProtectionPeakBaseMeter & ServicesCustomerFunction
15.6%29.4%26.7%15.0%13.3%% of RR
Accounts x gpm x durationTotal Usage xPeak FactorTotal Usage (ccf)MSEs*AccountsAllocation Basis
75.2%50.8%47.5%69.1%80.8%Single Family
2.3%2.1%2.1%2.3%2.5%Duplex
3.8%9.0%10.4%4.2%2.5%Multi-Family
18.7%24.7%29.2%20.0%11.9%Comm/Ind
0.0%13.5%10.9%4.4%2.4%Irrigation
*MSE = Meter Service Equivalents (AWWA Manual)
Slide 18
0%
50%
100%
150%
200%
250%
Single Family Duplex Multi-Family Comm/Ind Irrigation
●±10% is considered within cost of service
●Single Family under-collecting
»Result of expanding rate tiers
●Duplex over-collecting
»Charged 2x base rate of Single Family
●Irrigation collecting approximately 2x cost to serve
»Very large users paying the highest rate per unit of water
●Rate design proposals will work to align cost of service between classes
Cost of Service Results (Revenue ÷ COS Findings)
17
18
COML Council Packet 10-22-25, Page 11 of 38
10/16/2025
10
Slide 19
●2021 Recommendations:
»Removed allowance from meter charges
»Aligned Single Family and Duplex base rates
»Developed tiers for Single Family class
–0-1,000 cf
–1,000-3,000 cf
–Over 3,000 cf
»Utilize usage charges to address cost of service between other classes
–Phase Irrigation charge per 100 cf by approximately 8% per year
●Rate adjustments made since 2021 have
impacted findings of Cost of Service
Cost of Service Results Comparison
0%
20%
40%
60%
80%
100%
120%
140%
160%
Single Family Duplex Multi-Family Comm/Ind Irrigation
2021 Cost of Service Findings
Slide 20
Rate Design Options
19
20
COML Council Packet 10-22-25, Page 12 of 38
10/16/2025
11
Slide 21
Current Water Rate Schedule (Inside City)
Monthly RateMeter Size
$26.073/4”
$28.931”
$37.561.5”
$80.762”
Rate per100 cfUsage
$0.490-1,000 cf
$1.471,000-5,000 cf
$2.925,000-10,000 cf
$3.94Over 10,000 cf
Monthly RateMeter Size
$52.153/4”
$57.861”
$75.121.5”
$161.522”
Rate per100 cfUsage
$0.490-2,000 cf
$1.472,000-6,000 cf
$2.92Over 6,000 cf
Monthly RateMeter Size
$41.333/4”
$45.881”
$59.551.5”
$128.022”
$219.253”
$356.184”
$493.046”
$858.148”
Rate per100 cfClass
$0.98Multi-Family
$1.18Comm./Ind.
*See SF Tiers*Irrigation
Single Family Duplex Non-Residential
Areas for Improvement
1.Treatment of Duplex Customers
2.Align Fixed Charges Between Classes
3.Multi-Family /
Commercial /
Industrial Usage
Pricing
4.Single Family Tier Alignment
5.Irrigation Tier Alignment
Slide 22
1. Treatment of Duplex Customers
●Issue:Duplex customers are charged differently than all other classes
●Proposal:Align Duplex customers with Single Family
»Align fixed charges per meter size
»Align usage tiers and cost per tier
●Benefits:Aligns with industry best practices
»Fixed charges should be related to meter capacity
»Duplex customers use water in a similar manner to Single Family customers based on City billing data
●Outcome: Reduces the current over-collection of the by charging the account per meter rather than by dwelling unit
$-
$10
$20
$30
$40
$50
$60
$70
$80
$90
- 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000 2,200 2,400 2,600 2,800 3,000Cubic Feet
Single Family vs Duplex Bill Comparison
Single Family Duplex Duplex (per unit)
21
22
COML Council Packet 10-22-25, Page 13 of 38
10/16/2025
12
Slide 23
2. Align Fixed Charges Between Classes
●Issue:Meter based charges are not consistent between classes
●Proposal:Phase fixed charges towards a uniform schedule
»Increase residential fixed charged by 5% annually
»Hold non-residential fixed charge through 2030
●Benefits:Works towards alignment with industry best practices
»Meter charges should be based on capacity regardless of customer class
●Outcome:Moves revenue generation more towards usage based charges
»Overall revenue makeup still within industry ranges
Monthly RateMeter Size
$26.073/4”
$28.931”
$37.561.5”
$80.762”
Monthly RateMeter Size
$41.333/4”
$45.881”
$59.551.5”
$128.022”
$219.253”
$356.184”
$493.046”
$858.148”
Single Family Non-Residential
Slide 24
3. Multi-Family/Commercial/Industrial Revenue Generation
●Issue:Usage rates are lower than the cost per unit of water
●Proposal:Phase usage rates in to cost of service over the forecast period
●Benefits:Improves revenue generation based on cost of service information
»Ensure revenue forgone from holding fixed charges is still generated
»Aligns each class with their specific cost of service
●Outcome: Moves towards aligning customer cost of water towards actual system cost
Cost of Water: $1.60
Rate per100 cfClass
$0.98Multi-Family
$1.18Comm./Ind.
23
24
COML Council Packet 10-22-25, Page 14 of 38
10/16/2025
13
Slide 25
2023 Rate Structure (2021 Study Recommended)
Tier 1: 0-1,000 cf
44% of total use
Tier 2: 1,000-3,000 cf
Or
37% of total use
Tier 3: Over 3,000 cfUsage over this threshold represents 19% of total Single Family Usage
Indoor: 800 cf
Outdoor: 2,000 cf
*Based on monthly usage guidelines and customer statistics
Graphics show amount of usage per tier not all usage up to the end of the tier
Slide 26
2024-Current Rate Structure
Tier 1: 0-1,000 cf
44% of total use
Tier 2: 1,000-5,000 cf
Or
50% of total usage
Tier 3: 5,000-10,000 cf
Or
5% of total usage
Tier 4: Over 10,000 cf
Usage over this threshold represents 0.85% of total Single Family Usage
Indoor: 800 cf
Outdoor: 2,000 cf
25
26
COML Council Packet 10-22-25, Page 15 of 38
10/16/2025
14
Slide 27
Single Family Rate Impacts from Tier Adjustment
-
1,000
2,000
3,000
4,000
5,000
6,000
$-
$50
$100
$150
$200
$250
$300
- 200 400 600 800 1,000 1,200 1,400 1,600 1,800 2,000 2,200 2,400 2,600 2,800 3,000 3,200 3,400 3,600 3,800 4,000 4,200 4,400 4,600 4,800 5,000 5,200 5,400 5,600 5,800 6,000 6,200 6,400 6,600 6,800 7,000 7,200 7,400 7,600 7,800 8,000 8,200 8,400 8,600 8,800 9,000 9,200 9,400 9,600 9,800 10,000# of 2024 BillsBills 2023 Rates 2024 Rate
2024 Single Family Customer StatsJan-April Average: 700 cfMedian Bill: 1,000 cfJune-September Average: 2,900 cf
Top 10% of usage is use over 4,100 cfTop 1% of usage is use over 9,400 cfTop 0.1% of usage is over 20,000 cf
2024 adjustment included a 5% rate increase. Overall revenue generation remained at 2023 levels
Slide 28
2025 Single-Family Monthly Water Rate Survey
$26.62
$32.71 $34.00 $34.52 $36.16 $37.27
$45.01 $47.42
$64.56 $67.80 $71.25 $74.85
$0
$10
$20
$30
$40
$50
$60
$70
$80
Quincy Richland Moses Lake(Existing)Kennewick Moses Lake(Proposed)Pasco Sunnyside Ellensburg Wenatchee EastWenatchee Walla Walla Ephrata
*Assumes 10 ccf monthly usage, Includes utility tax
27
28
COML Council Packet 10-22-25, Page 16 of 38
10/16/2025
15
Slide 29
Single Family Tier Adjustments
●Issue:Tiers and pricing don’t align with customer usage behavior and the cost to provide water
●Proposal:Re-align tiers and phase in to charging for the cost of water
»Tiers: 0-1,000, 1,000-3,000, 3,000-5,000, 5,000+ cf
»Re-align costs per tier to adequately charge for service
●Benefits:Improved pricing signals for customers
●Outcome: Re-aligns usage tiers to reflect customer usage behavior and water use recommendations
Slide 30
Irrigation Usage Only Rate Impacts from Tier Adjustment
-
5
10
15
20
25
30
35
40
45
50
$-
$100
$200
$300
$400
$500
$600
$700
- 400 800 1,200 1,600 2,000 2,400 2,800 3,200 3,600 4,000 4,400 4,800 5,200 5,600 6,000 6,400 6,800 7,200 7,600 8,000 8,400 8,800 9,200 9,600 10,000 10,400 10,800 11,200 11,600 12,000 12,400 12,800 13,200 13,600 14,000 14,400 14,800 15,200 15,600 16,000 16,400 16,800 17,200 17,600 18,000 18,400 18,800 19,200 19,600 20,000# of 2024 BillsBills 2023 Usage Component 2024 Usage Component
2024 Irrigation Customer StatsApproximately 1/3 of bills have no usageJan-April Average: 2,400 cfMedian Bill: 2,200 cfJune-September Average: 19,500 cf
Almost half of all usage is from usage over 20,000 cf
2024 adjustment generated significantly more revenues from high users
29
30
COML Council Packet 10-22-25, Page 17 of 38
10/16/2025
16
Slide 31
Irrigation Tier Alignment
●Issue:Tiers don’t send pricing signals to Irrigation customers. Lower tiers are priced below the cost of water
●Proposal:Reduce Irrigation class to two tiers
»0-10,000 cf: charged based on cost of water
»10,000+ ccf: charged based on slightly higher than current top tier
●Benefits:Moves more towards industry best practices
»Typically, Irrigation is charged one rate for all usage
»Two tiers allows for differentiation between small and large irrigators
●Outcomes: Charges irrigation customers at least the cost of water for all usage. Continues to send pricing signals to promote water conservation
Slide 32
2026 Proposed Water Rate Schedule (Inside City)
Monthly RateMeter Size
$27.373/4”
$30.381”
$39.451.5”
$84.802”
Rate per100 cfUsage
$0.550-1,000 cf
$1.601,000-3,000 cf
$2.153,000-5,000 cf
$3.50Over 5,000 cf
Monthly RateMeter Size
$41.333/4”
$45.881”
$59.551.5”
$128.022”
$219.253”
$356.184”
$493.046”
$858.148”
Rate per100 cfClass
$1.10Multi-Family
$1.28Comm/Ind
Residential (Single Family & Duplex)Non-Residential
Rate per100 cfUsage
$1.600-10,000 cf
$4.50Over 10,000 cf
Irrigation Tiers
31
32
COML Council Packet 10-22-25, Page 18 of 38
10/16/2025
17
Slide 33
2027-2030 Rate Schedule and Sample Bills
Utilize Rate Calculator
Tool to compare bills the
Council would like to see
Slide 34
Summary / Next Steps
●Revenue Requirement
»5% annual rate increases through forecast period
–Continue to monitor upcoming capital needs
●Rate Design Options
»Treatment of Duplex Customers
»Phase to Fixed Charge Alignment
»Multi-Family / Commercial / Industrial Usage Pricing
»Single Family Tier Adjustment
»Irrigation Tier Adjustment
33
34
COML Council Packet 10-22-25, Page 19 of 38
10/16/2025
18
Slide 35
Thank you! Questions?
Chase Bozett, Asst. Project Manager
425.615.6235 (direct)
Chase.Bozett@Bowman.com
Slide 36
0%
20%
40%
60%
80%
100%
120%
2030 Forecasted Cost of Service Results
●Annual adjustments above achieve cost of service results by 2030
»Class specific adjustments may complicate rate schedule
–Non-Residential would have different base rates by meter size
»May not align with City objectives
–Decreasing irrigation rates may lead to less water conservation
Cost of Service Based Rate Adjustments
2026-2030 Annual IncreaseCustomer Class
8.25%Single Family
1.00%Duplex
8.00%Multi-Family
3.00%Comm/Ind
-7.50%Irrigation
35
36
COML Council Packet 10-22-25, Page 20 of 38
City of Moses Lake
Water and Sewer Rate Study Update
Rate Calculator Tool
Notes:
Only grey cells with blue text should be modified by the user
A customer class (and meter size for water) must be selected to generate a bill
When usage, flow, or units are required to generate a bill, a blank field will be treated as zero
Single Family Single Family
3/4"
1,000
10 -
Year Water Sewer Excess Use Total $ Change
2025 30.87$ 43.97$ -$ 74.84$
2026 32.87$ 42.98$ -$ 75.85$ 1.01$
2027 35.24$ 42.01$ -$ 77.25$ 1.40$
2028 37.68$ 41.06$ -$ 78.74$ 1.49$
2029 40.19$ 40.14$ -$ 80.33$ 1.59$
2030 42.77$ 39.24$ -$ 82.01$ 1.68$
Water Usage (100 cf)Sewer Flow (100 cf)
Water Class
Water Meter Size
Water Usage (cf)
Sewer Class
Units (MF only)
Sewer Flow (cf)
$74.84 $75.85 $77.25 $78.74 $80.33 $82.01
$-
$10
$20
$30
$40
$50
$60
$70
$80
$90
2025 2026 2027 2028 2029 2030
Monthly Water and Sewer Bill
Water Sewer Excess Use
COML Council Packet 10-22-25, Page 21 of 38
#2025
Single Family Duplex All Other Classes Base Charges
3/4"3/4"52.15$ 3/4"41.33$ Single Family 43.97$
1"1"57.86$ 1"45.87$ Duplex 87.97$
1 1/2"1 1/2"75.13$ 1 1/2"59.55$ Multi-Family (per unit)12.41$
2"2"161.52$ 2"128.03$ Commercial 47.19$
3"3"276.65$ 3"219.25$ Industrial 53.08$
4"4"449.43$ 4"356.18$
6"6"622.16$ 6"493.08$ Flow Charge (per 100 cf)
8"8"1,082.86$ 8"858.19$ Commercial 2.11$
Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Industrial 2.33$
Tier 1 (0-1,000 cf)Tier 1 (0-2,000 cf)0.48$ Multi Family 0.98$
Tier 2 (1,000-5,000 cf)Tier 2 (2,000-6,000 cf)1.47$ Commercial/Industrial 1.18$
Tier 3 (5,000-10,000 cf)Tier 3 (Over 6,000 cf)2.92$ Irrigation
Tier 4 (Over 10,000)Tier 1 (0-1,000 cf)0.48$
Tier 2 (1,000-5,000 cf)1.47$
Tier 3 (5,000-10,000 cf)2.92$
Tier 4 (Over 10,000 cf)3.94$
#2026
Single Family Duplex All Other Classes Base Charges
3/4"3/4"27.37$ 3/4"41.33$ Single Family 42.98$
1"1"30.38$ 1"45.87$ Duplex 85.11$
1 1/2"1 1/2"39.45$ 1 1/2"59.55$ Multi-Family (per unit)15.64$
2"2"84.80$ 2"128.03$ Commercial 56.16$
3"3"145.22$ 3"219.25$ Industrial 69.00$
4"4"235.90$ 4"356.18$
6"6"326.57$ 6"493.08$ Flow Charge (per 100 cf)
8"8"568.40$ 8"858.19$ Commercial 2.51$
Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Industrial 3.03$
Tier 1 (0-1,000 cf)Tier 1 (0-1,000 cf)0.55$ Multi Family 1.10$
Tier 2 (1,000-3,000 cf)Tier 2 (1,000-3,000 cf)1.60$ Commercial/Industrial 1.28$
Tier 3 (3,000-5,000 cf)Tier 3 (3,000-5,000 cf)2.15$ Irrigation
Tier 4 (Over 5,000 cf)Tier 4 (Over 5,000 cf)3.50$ Tier 1 (0-10,000 cf)1.60$
Tier 2 (Over 10,000 cf)4.50$
COML Council Packet 10-22-25, Page 22 of 38
#2027
Single Family Duplex All Other Classes Base Charges
3/4"3/4"28.74$ 3/4"41.33$ Single Family 42.01$
1"1"31.90$ 1"45.87$ Duplex 82.34$
1 1/2"1 1/2"41.42$ 1 1/2"59.55$ Multi-Family (per unit)19.08$
2"2"89.04$ 2"128.03$ Commercial 65.15$
3"3"152.48$ 3"219.25$ Industrial 86.25$
4"4"247.70$ 4"356.18$
6"6"342.90$ 6"493.08$ Flow Charge (per 100 cf)
8"8"596.82$ 8"858.19$ Commercial 2.91$
Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Industrial 3.79$
Tier 1 (0-1,000 cf)Tier 1 (0-1,000 cf)0.65$ Multi Family 1.25$
Tier 2 (1,000-3,000 cf)Tier 2 (1,000-3,000 cf)1.70$ Commercial/Industrial 1.38$
Tier 3 (3,000-5,000 cf)Tier 3 (3,000-5,000 cf)2.30$ Irrigation
Tier 4 (Over 5,000 cf)Tier 4 (Over 5,000 cf)3.70$ Tier 1 (0-10,000 cf)1.65$
Tier 2 (Over 10,000 cf)4.64$
#2028
Single Family Duplex All Other Classes Base Charges
3/4"3/4"30.18$ 3/4"41.33$ Single Family 41.06$
1"1"33.50$ 1"45.87$ Duplex 79.66$
1 1/2"1 1/2"43.49$ 1 1/2"59.55$ Multi-Family (per unit)21.75$
2"2"93.49$ 2"128.03$ Commercial 70.36$
3"3"160.10$ 3"219.25$ Industrial 102.64$
4"4"260.09$ 4"356.18$
6"6"360.05$ 6"493.08$ Flow Charge (per 100 cf)
8"8"626.66$ 8"858.19$ Commercial 3.14$
Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Industrial 4.51$
Tier 1 (0-1,000 cf)Tier 1 (0-1,000 cf)0.75$ Multi Family 1.40$
Tier 2 (1,000-3,000 cf)Tier 2 (1,000-3,000 cf)1.80$ Commercial/Industrial 1.48$
Tier 3 (3,000-5,000 cf)Tier 3 (3,000-5,000 cf)2.45$ Irrigation
Tier 4 (Over 5,000 cf)Tier 4 (Over 5,000 cf)3.90$ Tier 1 (0-10,000 cf)1.70$
Tier 2 (Over 10,000 cf)4.78$
COML Council Packet 10-22-25, Page 23 of 38
#2029
Single Family Duplex All Other Classes Base Charges
3/4"3/4"31.69$ 3/4"41.33$ Single Family 40.14$
1"1"35.18$ 1"45.87$ Duplex 77.07$
1 1/2"1 1/2"45.66$ 1 1/2"59.55$ Multi-Family (per unit)24.36$
2"2"98.16$ 2"128.03$ Commercial 74.58$
3"3"168.11$ 3"219.25$ Industrial 122.14$
4"4"273.09$ 4"356.18$
6"6"378.05$ 6"493.08$ Flow Charges (per 100 cf)
8"8"657.99$ 8"858.19$ Commercial 3.33$
Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Industrial 5.37$
Tier 1 (0-1,000 cf)Tier 1 (0-1,000 cf)0.85$ Multi Family 1.55$
Tier 2 (1,000-3,000 cf)Tier 2 (1,000-3,000 cf)1.90$ Commercial/Industrial 1.59$
Tier 3 (3,000-5,000 cf)Tier 3 (3,000-5,000 cf)2.60$ Irrigation
Tier 4 (Over 5,000 cf)Tier 4 (Over 5,000 cf)4.10$ Tier 1 (0-10,000 cf)1.75$
Tier 2 (Over 10,000 cf)4.92$
#2030
Single Family Duplex All Other Classes Base Charges
3/4"3/4"33.27$ 3/4"41.33$ Single Family 39.24$
1"1"36.94$ 1"45.87$ Duplex 74.57$
1 1/2"1 1/2"47.94$ 1 1/2"59.55$ Multi-Family (per unit)27.28$
2"2"103.07$ 2"128.03$ Commercial 79.05$
3"3"176.52$ 3"219.25$ Industrial 145.35$
4"4"286.74$ 4"356.18$
6"6"396.95$ 6"493.08$ Flow Charges (per 100 cf)
8"8"690.89$ 8"858.19$ Commercial 3.53$
Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Consumption Charge (per 100 cf)Industrial 6.39$
Tier 1 (0-1,000 cf)Tier 1 (0-1,000 cf)0.95$ Multi Family 1.70$
Tier 2 (1,000-3,000 cf)Tier 2 (1,000-3,000 cf)2.00$ Commercial/Industrial 1.70$
Tier 3 (3,000-5,000 cf)Tier 3 (3,000-5,000 cf)2.75$ Irrigation
Tier 4 (Over 5,000 cf)Tier 4 (Over 5,000 cf)4.30$ Tier 1 (0-10,000 cf)1.80$
Tier 2 (Over 10,000 cf)5.07$
COML Council Packet 10-22-25, Page 24 of 38
Single Family Residential (.75" Meter)
Year 2025 2026 2027 2028 2029 2030
Monthly Fixed Rate 26.07$ 27.37$ 28.74$ 30.18$ 31.69$ 33.27$
Cubic Feet #Accounts Use per Month
High 18,600 574.51$ 583.87$ 618.44$ 653.08$ 687.79$ 722.57$ 190 8,100-18,600 CF
Avg 3,100 61.74$ 67.02$ 71.54$ 76.13$ 80.79$ 85.52$ 4,941 2,100-8,000 CF
Low 100 26.55$ 27.92$ 29.39$ 30.93$ 32.54$ 34.22$ 2,739 100-2,000 CF
Duplex (.75" Meter)
Year 2025 2026 2027 2028 2029 2030
Monthly Fixed Rate 52.15$ 27.37$ 28.74$ 30.18$ 31.69$ 33.27$
Cubic Feet #Accounts Use per Month
High 19,400 511.83$ 611.87$ 648.04$ 684.28$ 720.59$ 756.97$ 19 8,100-19,400 CF
Avg 3,900 89.68$ 84.22$ 89.94$ 95.73$ 101.59$ 107.52$ 97 2,100-8,000 CF
Low 100 52.63$ 27.92$ 29.39$ 30.93$ 32.54$ 34.22$ 56 100-2,000 CF
Irrigation (1" Meter)
Year 2025 2026 2027 2028 2029 2030
Monthly Fixed Rate 45.88$ 45.88$ 45.88$ 45.88$ 45.88$ 45.88$
Cubic Feet #Accounts Use per Month
High 38,600 1,382.31$ 1,492.87$ 1,537.91$ 1,582.95$ 1,627.99$ 1,675.89$ 28 11,900-38,600 CF
Avg 9,000 226.27$ 189.87$ 194.37$ 198.87$ 203.37$ 207.87$ 38 6,200-11,800 CF
Low 200 46.83$ 49.07$ 49.17$ 49.27$ 49.37$ 49.47$ 50 200-6,100 CF
Commercial (.75" Meter)
Year 2025 2026 2027 2028 2029 2030
Monthly Fixed Rate 41.33$ 41.33$ 41.33$ 41.33$ 41.33$ 41.33$
Cubic Feet #Accounts Use per Month
High 43,600 555.81$ 599.41$ 643.01$ 686.61$ 734.57$ 782.53$ 30 7,600-43,600 CF
Avg 2,300 68.47$ 70.77$ 73.07$ 75.37$ 77.90$ 80.43$ 121 2,000-7,500 CF
Low 100 42.51$ 42.61$ 42.71$ 42.81$ 42.92$ 43.03$ 346 100-1,900 CF
Multi-Family (1" Meter)
Year 2025 2026 2027 2028 2029 2030
Monthly Fixed Rate 45.87$ 45.87$ 45.87$ 45.87$ 45.87$ 45.78$
Cubic Feet #Accounts Use per Month
High 43,000 467.27$ 518.87$ 583.37$ 647.87$ 712.37$ 776.87$ 7 17,700-43,200 CF
Avg 6,700 111.53$ 119.57$ 129.62$ 139.67$ 149.72$ 159.77$ 21 5,000-17,600 CF
Low 300 48.81$ 49.17$ 49.62$ 50.07$ 50.52$ 50.97$ 49 300-4,900 CF
Industrial (1.5"- 8" Meter)
Year 2025 2026 2027 2028 2029 2030
Monthly Fixed Rate *(8" Meter)858.14$ 858.14$ 858.14$ 858.14$ 858.14$ 858.14$
Cubic Feet #Accounts Use per Month
High 985,500 12,487.09$ 13,472.59$ 14,458.09$ 15,443.59$ 16,527.64$ 17,611.69$ 4 378,300-986,500 CF
Avg 237,700 3,663.05$ 3,900.75$ 4,138.45$ 4,376.15$ 4,637.62$ 4,899.09$ 7 100,100-378,200 CF
Low 2,000 881.79$ 883.79$ 885.79$ 887.79$ 889.99$ 892.19$ 9 2,000-100,000 CF
Examples of Proposed Water Rate Changes
COML Council Packet 10-22-25, Page 25 of 38
Council Agenda Bill
Subject
2026 Budget Workshop #3
Department
Finance
Presenter at the Meeting
Madeline Prentice, Finance Director
Packet Attachments (if any)
Budget Workshop #3.pdf 286.11KB
Meeting Date:
10/22/2025
Agenda Item Number:
57837
Proceeding Type
Study Session
Proposed Council Action/Motion:
Information Only
Receive and File
Discuss
Provide Direction
Public Hearing
Adopt/Approve
Authorize
Other
No motion necessary.
Summary/Background
The 2026 budget workshop #3 presentation is attached for review and consideration.
Fiscal Consideration
The 2026 proposed budget for the following departments/funds will be presented:
Fire (pg. 74) - presented by Fire Chief Art Perillo
Ambulance (EMS) (pg. 106) - presented by Fire Chief Art Perillo
Engineering (pg. 64) - presented by Assistant Public Works Director Leigh Ramsey
Street Maintenance (pg. 109) - presented by Streets/Stormwater Maintenance Manager Brad Mitchell
Stormwater Operations (pg. 119) - presented by Streets/Stormwater Maintenance Manager Brad Mitchell
Water Operations (pg. 113) - presented by Water Services Manager Chad Strevy
Wastewater Operations (pg. 116) - presented by Wastewater Manager Chris Campbell
Municipal Airport (pg. 125) - presented by Assistant Public Works Director Leigh Ramsey
Equipment Repair & Replacement (pg. 127) - presented by Fleet Manager Joey Clifner
Facilities Maintenance (pg. 130) - presented by Facilities Manager Josh McPherson
City Council Priorities or Budget Objectives Addressed
Preamble: The City’s top priority will always be fulfilling its core mission, which includes ensuring public safety, maintaining the City’s infrastructure, complying with state and federal
mandates, and safeguarding the City’s finances.
#1 - Achieve Financial Sustainability
#2 - Secure Sustainable and Reliable Municipal Water Sources
#3 - Improve the City's Image and Reputation
#4 - Fire Department Service Delivery Model and Third Fire Station
#5 - New Police Station
#6 - Second Lake Crossing
#7 - WSDOT Highway Projects in Moses Lake
Reviewed and Approved by:
City Manager - Rob Karlinsey on 10/15/2025
COML Council Packet 10-22-25, Page 26 of 38
10/16/2025
1
CITY OF MOSES LAKE
2026 BUDGET WORKSHOP #3
October 22, 2025
•Fire – Fire Chief Art Perillo (pg. 74)
•Ambulance (EMS) – Fire Chief Art Perillo (pg. 106)
•Engineering – Assistant Public Works Director Leigh Ramsey (pg. 64)
•Street Maintenance – Streets/Stormwater Maintenance Manager Brad Mitchell (pg. 109)
•Stormwater Operations – Streets/Stormwater Maintenance Manager Brad Mitchell (pg.
119)
•Water Operations – Water Services Manager Chad Strevy (pg. 113)
•Wastewater Operations – Wastewater Manager Chris Campbell (pg. 116)
•Municipal Airport – Assistant Public Works Director Leigh Ramsey (pg. 125)
•Equipment Replacement – Fleet Manager Joey Clifner (pg. 127)
•Facilities Maintenance – Facilities Manager Josh McPherson (pg. 130)
Budget Workshop Presentations
October 22, 2025
2
1
2
COML Council Packet 10-22-25, Page 27 of 38
10/16/2025
2
Public Safety –Fire (Budget page 74)
General Fund
Department
Description
•Response to Fire Incidents
•Technical Rope Rescue
•Hazardous Materials Team
•Ice & Water Rescue
•Wildland Urban Interface
Response
•Public Fire Education
Accomplishments
•New Fire Chief hired September 22, 2025
•Administrative Restructure
•Addressed Budget Sustainability
•Developed Request for Proposal and initiated Feasibility Study for Fire
Services Delivery model options to be implemented in 2026 – 2027
•Began search for temporary fire station in the City’s north corridor
3
Public Safety - Fire
General Fund
Proposed Budget
•Proposed Revenue: $938,380
•Proposed Expenses: $7,089,173
•Increase/Decrease over 2025 budget: Decrease 8.9%
Highlights and
Changes
•2026 Budget reflects the anticipated loss of approximately $500,000 in
federal funding (7/31/2026 Expiration of SAFER Grant).
•2025 Administrative Restructure: Implemented to reach a balanced
2026 budget by leveraging retirements, vacancies, and consolidation of
select support services, while preserving critical mission services.
•Achieved Council Priorities 1,3, and 4. (1. Financial Sustainability,
Customer Service, and Temporary Station 3 in North Corridor)
•Labor & Industries worker’s compensation premium increasing 15% in
2026. Three-year cumulative increase in premiums of 52%.
4
3
4
COML Council Packet 10-22-25, Page 28 of 38
10/16/2025
3
Ambulance Fund (Budget page 106)
Enterprise Funds
Department
Description
•Advanced & Basic Emergency Medical Response, Treatment, &
Transport
•Tactical EMS Support with Police SWAT
Accomplishments
•Completed Ground Emergency Medical Transport (GEMT) audit
•Provided paramedic unit resource support for wildfire mobilization fires
that has provided an additional revenue stream
•Initiated a quality improvement review on select EMS incidents to
achieve risk reduction
•Planned for a trial EMS response dual trained team in the City’s north
corridor to reduce response times to critical calls for service
5
Ambulance Fund
Enterprise Funds
Proposed Budget
•Proposed Revenue: $4,353,545
•Proposed Expenses: $4,628,875
•Increase/Decrease over 2025 budget: Decrease 2.5%
Highlights and
Changes
•The budget may be impacted by new federal legislation that could
potentially reduce the Medicaid and Medicare reimbursements within
the GEMT and ambulance transport fee program, resulting in a potential
1 to 15% decrease in revenue
•Labor & Industries worker’s compensation premium increasing 15% in
2026. Three-year cumulative increase in premiums of 52%
6
5
6
COML Council Packet 10-22-25, Page 29 of 38
10/16/2025
4
Engineering (Budget page 64)
General Fund
Department
Description
The Engineering Division is responsible for the administration and
preparation of reports, designs, plans, specifications, grant applications,
construction inspection, and cost estimates for state, federal, and locally
funded construction projects, local improvement districts and private
development projects.
Accomplishments
•Community Street and Utility Standards updates continue, 6-year CIPs for all
utilities
•Partial funding secured for Well 29, request to exchange deep for shallow rights
in process
•Projects Completed – 15
•Projects in Design – 9
•Projects Ready for Bid by Year End - 6
7
Engineering
General Fund
Proposed Budget
•Proposed Revenue: $101,000
•Proposed Expenses: $2,339,410
•Increase/Decrease over 2025 budget: Decrease 19.5%
Highlights and
Changes
•Professional Services – maintenance of water and wastewater system
models (bi-annual updates)
•Payroll and benefits reflect 20% of staff time billed to projects
•Revenue is based purely on street obstruction permits
•Staff reduction through attrition – Engineering Technician
•Transition Development Review Program to Engineering
8
7
8
COML Council Packet 10-22-25, Page 30 of 38
10/16/2025
5
Street Operations (Budget page 109)
Other Operating Funds
Department
Description
•Responsible for maintaining roadways to ensure they are safe,
functional, compliant and appealing
•Maintains roads, markings, signage, vegetation, alleys and snow
removal
Accomplishments
•Repaired potholes
•Striped 23 miles of roadway
•Upgraded traffic signals
•Improved City owned parking-lots
•Certified conflict monitor units in house
•New pedestrian push button replacements
9
Street Operations
Other Operating Funds
Proposed Budget
•Proposed Revenue: $1,802,595
•Proposed Expenses:$2,369,938
•Increase/Decrease over 2025 budget: Decrease 33.0%
Highlights and
Changes
•Signal components repaired in house, expenses reduced by
87%
•Signal/sign maintenance expenses reduced 33%
•Roadway repair expenses reduced 58%
•Efficiencies allowed for reduction in operating expenses
10
9
10
COML Council Packet 10-22-25, Page 31 of 38
10/16/2025
6
Stormwater (Budget page 119)
Enterprise Funds
Department
Description
•Manages the city’s stormwater infrastructure and ensuring
environmental compliance.
•Performs maintenance and public outreach as required by
NPDES permit
Accomplishments
•Repurposed Camera Van, Saving $195k
•Stormwater General Plan, 90% Completion
•Staff Earned CESCL and PSCIC Certificates
•Will remove more than 522,000 lbs. of street debris
11
Stormwater
Enterprise Funds
Proposed Budget
•Proposed Revenue: $1,510,000
•Proposed Expenses: $1,791,777
•Increase/Decrease over 2025 budget: Increase 21.9%
Highlights and
Changes
•Requesting to add Stormwater Program Coordinator
position. This was a previously budgeted but unfilled
position.
•$120,000 capacity grant will partially fund the position in
2026 and 2027
12
11
12
COML Council Packet 10-22-25, Page 32 of 38
10/16/2025
7
Water Operations (Budget page 113)
Enterprise Funds
Department
Description
•The City of Moses Lake Water Division provides quality potable water to
the customers in our service area in and around Moses Lake.
•The Water Division is staffed by 12 dedicated employees.
•Certifications held by these employees include Distribution
Management, Cross Connection Control and Backflow Testing.
Accomplishments
•Installed 2,900 endpoints in the Knolls Vista and Central zones.
•Replaced 300 meters and checked for accuracy to determine if any lost
revenue is occurring.
•Tested 80 large meters for accuracy.
•Inspected 150 hydrants and 180 main line valves.
13
Water Operations
Enterprise Funds
Proposed Budget
•Proposed Revenue: $10,918,000
•Proposed Expenses: $12,141,948
•Increase/Decrease over 2025 budget: Increase 18.6%
Highlights and
Changes
•State and Federal lobbyists $175,000
•Water Rights Consultant $75,000
•Cross Connection Management $50,000
14
13
14
COML Council Packet 10-22-25, Page 33 of 38
10/16/2025
8
Wastewater Operations (Budget page 116)
Enterprise Funds
Department
Description
•The City of Moses Lake Wastewater Division is responsible for the
conveyance and treatment of the City's wastewater flows.
•The Wastewater Division is staffed by 11 dedicated individuals.
•Currently 8 Division Personnel hold Department of Ecology Wastewater
Certifications.
Accomplishments
•Division Lift Station Completed.
•Assist Conservation District on removing lake adjacent septic systems
project.
•Public Outreach; Car show, parade, fair, and trunk or treat.
•City of Moses Lake Wastewater Division have received 23 Outstanding
Performance Awards from Department of Ecology since 2008.
15
Wastewater Operations
Enterprise Funds
Proposed Budget
•Proposed Revenue: $8,333,000
•Proposed Expenses: $8,247,128
•Increase/Decrease over 2025 budget: Increase 14.2%
Highlights and
Changes
•In 2025, 5 staff members upgraded or received new wastewater certificates.
•All wastewater staff members are certified in confined space entry / attendant /
rescue operations.
•To date in 2025, the Wastewater Division has cleaned over 221 miles of sewer
line.
•Received 2024 Outstanding Performance award for Larson Treatment Plant.
16
15
16
COML Council Packet 10-22-25, Page 34 of 38
10/16/2025
9
Municipal Airport (Budget page 125)
Enterprise Funds
Department
Description
•General aviation airport serving general aviation aircraft and
commercial crop spraying operations
•Deeded to the City in 1947 by Northern Pacific Railroad
•Self-sustaining enterprise fund – expenses must be covered by
revenues generated through leases and tie-down fees
Accomplishments
•Crack sealing on taxiways partially completed
•Six-year statewide capital improvement plan (SCIP) created
•Reduced tie-down irrigation area to conserve water & reduce
water bills
•New taxiway reflectors ordered and installed
17
Municipal Airport
Enterprise Funds
Proposed Budget
•Proposed Revenue: $67,525
•Proposed Expenses: $59,437
•Increase/Decrease over 2025 budget: Decrease 17.1%
Highlights and
Changes
•Will apply for WSDOT grant for pavement maintenance of
runway. Project completion depends on grant award
•Propose replacing runway lighting (if budget allows)
•Budget does not include funding for two capital projects
identified in the SCIP
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17
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COML Council Packet 10-22-25, Page 35 of 38
10/16/2025
10
Internal Service Funds
Equipment Replacement (Fleet)(Budget page 127)
Department
Description
•Enables effective community service by providing a dependable fleet.
•Maximizes efficiency through maintenance and cost control.
•Extends the useful life of fleet assets with precise preventative
maintenance.
Accomplishments
•Notably reduced maintenance expenses with targeted vendor changes.
•Moved fleet fueling to State Contract, reducing costs and enhancing
security.
•Invested in training and tools to expand in-house service capacity.
•Restructured vehicle replacement plan to achieve savings through
longer retention cycles.
•Two 5-yard dump trucks acquired and in operation
19
Equipment Replacement (Fleet)
Internal Service Funds
Proposed Budget
•Proposed Revenue: $2,415,422
•Proposed Expenses: $3,310,215
•Increase/Decrease over 2025 budget: Decrease 1.4%
Highlights and
Changes
•Bulk fluids expense reduced by 48%
•Vehicle replacement list revised to focus on essential vehicles only. Vehicle
retention increase by 50%. New and additional vehicle requests limited to
Police and Fire
•Expand preventive maintenance to increase vehicle reliability.
•Leverage fleet management technology for real-time performance insights.
•Strengthen vendor partnerships to maximize cost savings and supply chain
reliability.
20
19
20
COML Council Packet 10-22-25, Page 36 of 38
10/16/2025
11
Facilities Maintenance (Budget page 130)
Internal Service Funds
Department
Description
•The Facilities Maintenance Division's primary responsibility
is to keep all City facilities safe, operational, and clean for
employees and citizens.
Accomplishments
•Completed a remodel of the Technology Department's
offices and work room.
•Civic Center solar system.
•Operations Building #2 roof replacement.
21
Facilities Maintenance
Internal Service Funds
Proposed Budget
•Proposed Revenue: $2,846,315
•Proposed Expenses: $3,066,23
•Increase/Decrease over 2025 budget: Decrease 28.9%
Highlights and
Changes
•Obtain a complete Facility Condition Assessment
•Reduced staffing levels through attrition
•Trimmed operating budget
•Reduced capital project budget
22
21
22
COML Council Packet 10-22-25, Page 37 of 38
10/16/2025
12
Madeline Prentice
Finance Director, Finance
mprentice@cityofml.com
509 764 3732
For comments and questions:
23
23
COML Council Packet 10-22-25, Page 38 of 38